Answer :

During the Cold War era, India and the USSR enjoyed a special relationship which made critics to say that India was part of the Soviet Camp. It was a multi-dimensional relationship:

1) Economic:-

a. The Soviet Union assisted India’s public sector companies at a time when such assistance was difficult to get.

b. It gave aid and technical assistance for steel plants like Bhilai, Bokaro, and machinery plants like Bharat Heavy Electrical limited.

c. The Soviet Union accepted Indian currency for trade when India was short of foreign exchange.

2) Political:-

a) The Soviet Union supported India’s position on the Kashmir Issue in the UN.

b) The Soviet Union also supported India during its major conflicts during the war with Pakistan in 1971.

c) India too supported Soviet foreign policy in some crucial but indirect ways.

3) Military:-

a) India received military hardware from Soviet Union.

b) India got technological help regarding maintenance of military arsenal.

c) India and Soviet Union got mutual agreements to produce military equipment.

4) Culture:-

a) Hindi films and Indian culture were popular in the Soviet Union.

b) A large number of Indian writers and artists visited the USSR.

c) Indian heroes from Rajkapoor to Amitabh Bachhan are household names in Russia.


The idea of New International Economic Order (N.I.E.O.) for the development of Least Developed Countries (LDC) was:

1) LDCs wanted to be economically developed and lift their people out of poverty.

2) Economic development was also vital for the independence of the new countries.

3) They did not want to remain dependent on the rich countries.

4) The idea of NIEO originated with this realisation.

The four main reforms proposed by UNCTAD to benefit the LDCs are:

1) Give LDCs control over their natural resources.

2) Obtain access to Western markets.

3) Reduce the cost of technology obtained from the Western countries.

4) Create role of LDCs international economic institutions.

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